Financing Minority Communities

February 03, 2014

We believe that healthy economies and communities must be built on a strong foundation of fairness and opportunity. The Domini Social Bond Fund invests in a number of Community Development Financial Institutions (CDFIs)—banks and credit unions whose primary missions are to serve low income, minority, women, and immigrant communities historically underserved by traditional financial institutions.

The following CDFIs in the Fund’s portfolio all serve minority communities that are often excluded from the mainstream financial industry:

Latino Community Credit Union provides housing loans for North Carolina’s Hispanic communities and low-income customers. It was established to respond to a wave of robberies and muggings of Latino immigrants in Durham. As of September 2013, 95 percent of the Credit Union’s members were low-income, and 75 percent were previously unbanked.

ProAmerica Bank is a Latino-owned bank in Los Angeles providing tailored financial products and services specifically for small-and-medium-sized businesses, with a focus on the Hispanic business community. ProAmerica plays a pivotal role in developing entrepreneurship and job growth in Latino communities.

Bank 2 is owned by the Chickasaw Nation, headquartered in Oklahoma City. Bank 2 is the nation’s largest provider of home loans for Native Americans, and it now extends loans to Native-American-owned small businesses to help the Chickasaw people and other Native Americans build better lives. Native Americans have the highest poverty and unemployment rates among all races.

The composition of the Fund's portfolios is subject to change. View the most current list of the Domini Social Bond Fund's holdings.

The Domini Social Bond Fund (“The Fund”) is not insured and is subject to market risks. You may lose money. Some of the Fund’s community development investments may be unrated and carry greater credit risks than its other investments. The Domini Social Bond Fund currently holds a large percentage of its portfolio in mortgage-backed securities. During periods of falling interest rates these securities may prepay the principal due, which may lower the Fund’s return by causing it to reinvest at lower interest rates. The composition of the Fund’s portfolio is subject to change.

This information is provided for informational purposes only and should not be considered a recommendation as to the financial merits of any of the stocks or investment vehicles mentioned. Neither Domini Social Investments LLC or DSIL Investment Services LLC is affiliated with any bank. The Domini Funds are not insured.